| Author (Person) | Atkins, Ralph, Beattie, Alan |
|---|---|
| Series Title | Financial Times |
| Series Details | 22.9.11 |
| Publication Date | 22/09/2011 |
| Content Type | News |
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In its global financial stability report, released on the 21 september 2011 ahead of its annual meetings, International Monetary Fund staff stuck by their estimate that Europe’s sovereign debt crisis had delivered a €200bn hit to European Union banks since 2010, an analysis that has provoked fierce arguments with eurozone governments. European policymakers challenged the IMF’s findings. Separately, the European Systemic Risk Board, a new body comprising central bankers and supervisors, called on the 21 September 2011 for concerned action to head off 'rapidly rising' threats. Risks to the stability of the EU financial system have increased considerably. Key risks stem from potential further adverse feedback effects between sovereign risks, funding vulnerabilities within the EU banking sector, and a weakening of growth outlooks both at global and EU levels. Together these two calls raised the pressure on European policymakers to shore up Europe's banks, warning the impact of the sovereign debt crisis on bank capital posed an escalating threat to financial stability. |
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| Subject Categories | Business and Industry, Economic and Financial Affairs |
| Countries / Regions | Europe |
